In the age of "Do it Yourself" TV shows, home and garden magazines, Pinterest, and more, the thought of remodeling your home might be tempting. After all, there’s a lot to love about redesigning, updating, and maximizing your space. Plus, whether you’re thinking of joining the do-it-yourself crowd or prefer to let hired professionals do the heavy lifting, any number of popular TV programs and encouraging articles make home remodeling look like a piece of cake. But before you start measuring walls and making demolition plans, Dan Fritschen, founder of www.remodelormove.com, encourages you to stop a moment and really consider what you’re about to jump into.
Neighbors Can Reduce Your Resale Value
The Appraisal Institute, the nation’s largest professional association of real estate appraisers, today cautioned homeowners and potential homebuyers that bad neighbors can significantly reduce nearby property values.
HUD Launched RAD program (Rental Assistance Demonstration)
To stem the loss of critically needed public and other
forms of subsidized housing due to the severe backlog of capital needs,
the U.S. Department of Housing and Urban Development (HUD) today
officially launched its
Rental Assistance Demonstration (RAD), the Obama Administration's groundbreaking strategy to preserve tens of thousands of public and HUD-assisted housing units.
In the near term, RAD is expected to preserve and enhance more than 278 units of affordable housing in Austin, Fort Worth, and McKinney and generate private capital to address the significant backlog in capital needs faced by public housing authorities in the U.S. This additional capital will also stimulate employment in the construction trades across the country. Nationally, RAD is expected to benefit more than 13,000 units of affordable housing and generate more than $650 million in private capital.
"This innovative and cost-effective approach greatly enhances our ability to confront the decline of our public housing and older assisted housing stock," said HUD Secretary Shaun Donovan. "With the initial implementation of RAD, the Obama Administration has begun to demonstrate that public-private partnership can help preserve our nation's affordable housing and create jobs in the process."
"HUD and our local partners are working to protect critically needed affordable housing for the residents in these communities," said Acting Regional Administrator Mark Brezina. "This is a market-based approach to helping local housing authorities tap into private capital to preserve housing for some of our most vulnerable citizens."
HUD awarded commitments to the Austin Housing Authority, the Fort Worth Housing Authority, and the McKinney Housing Authority, allowing them to seek private financing to rehabilitate 278 units that are otherwise at risk of being lost from the affordable housing inventory.
RAD allows public housing agencies and private owners of certain at-risk, federally assisted properties to convert their current assistance to long-term Section 8 contracts. Such contracts will allow owners to leverage millions of dollars in debt and equity to better address immediate capital needs and preserve these affordable housing units. In addition, participating agencies are freed from antiquated public housing rules and restrictions that hindered their ability to best preserve and manage their housing similar to other affordable housing owners and managers.
In 2011, HUD released Capital Needs in the Public Housing Program, a study that found the nation's 1.2 million public housing units need nearly $26 billion to keep these homes in safe and decent condition for families, a figure well in excess of the roughly $2 billion Congress appropriates for capital repairs annually. Beyond the potential loss of this public housing, the Moderate Rehabilitation, Rent Supplement, and older Rental Assistance Payment (RAP) programs are at risk of being lost from the affordable housing stock.
RAD is part of the Obama Administration's comprehensive strategy to preserve public and HUD-assisted housing. In November 2011, Congress authorized HUD to implement RAD as a budget-neutral demonstration program with two components, allowing for the conversion of assistance for both public housing and HUD-assisted properties that have expiring subsidies.
In the near term, RAD is expected to preserve and enhance more than 278 units of affordable housing in Austin, Fort Worth, and McKinney and generate private capital to address the significant backlog in capital needs faced by public housing authorities in the U.S. This additional capital will also stimulate employment in the construction trades across the country. Nationally, RAD is expected to benefit more than 13,000 units of affordable housing and generate more than $650 million in private capital.
"This innovative and cost-effective approach greatly enhances our ability to confront the decline of our public housing and older assisted housing stock," said HUD Secretary Shaun Donovan. "With the initial implementation of RAD, the Obama Administration has begun to demonstrate that public-private partnership can help preserve our nation's affordable housing and create jobs in the process."
"HUD and our local partners are working to protect critically needed affordable housing for the residents in these communities," said Acting Regional Administrator Mark Brezina. "This is a market-based approach to helping local housing authorities tap into private capital to preserve housing for some of our most vulnerable citizens."
HUD awarded commitments to the Austin Housing Authority, the Fort Worth Housing Authority, and the McKinney Housing Authority, allowing them to seek private financing to rehabilitate 278 units that are otherwise at risk of being lost from the affordable housing inventory.
RAD allows public housing agencies and private owners of certain at-risk, federally assisted properties to convert their current assistance to long-term Section 8 contracts. Such contracts will allow owners to leverage millions of dollars in debt and equity to better address immediate capital needs and preserve these affordable housing units. In addition, participating agencies are freed from antiquated public housing rules and restrictions that hindered their ability to best preserve and manage their housing similar to other affordable housing owners and managers.
In 2011, HUD released Capital Needs in the Public Housing Program, a study that found the nation's 1.2 million public housing units need nearly $26 billion to keep these homes in safe and decent condition for families, a figure well in excess of the roughly $2 billion Congress appropriates for capital repairs annually. Beyond the potential loss of this public housing, the Moderate Rehabilitation, Rent Supplement, and older Rental Assistance Payment (RAP) programs are at risk of being lost from the affordable housing stock.
RAD is part of the Obama Administration's comprehensive strategy to preserve public and HUD-assisted housing. In November 2011, Congress authorized HUD to implement RAD as a budget-neutral demonstration program with two components, allowing for the conversion of assistance for both public housing and HUD-assisted properties that have expiring subsidies.
Simple Starts for Going Green
Many times when we talk about “going green” we think about how much
green it will cost us. However, there are many ways to live a healthier
life and be gentler on the environment without spending a single penny.
Here are five simple ways to Do Your Part and not only are they all free
— some solutions will also save you money.
Stop Buying Water
Ditching plastic bottles of water and using reusable containers will save big bucks in the long run. But there are other situations where we pay for water without realizing it. Opting to buy concentrated juices is a cheaper alternative to buying many jugs of juice. You’ll save about a nickel on ounce. And, instead of using expensive irrigation systems in your yard, rain barrels or other collection devices will do the work for free.
Sell the Small Stuff
Got gadgets and other electronics collecting dust around your home? They are valuable even if they don’t work. Many major retailers now accept old electronics and will give you a store gift card in return. And, many online sites will pay to have you ship them your stuff and you’ll get a check after they receive it. These items get resold or recycled for metal. Check DoYourPart.com/Columns for a list of resources. Also, consider taking gently worn clothing, sporting equipment, and even children’s gear to consignment shops to earn a few dollars.
Refuse to Waste Gas
No one likes what it costs to fill up our cars at the gas station. To maximize your fuel efficiency and lower toxic emissions, make sure to keep your tires properly inflated, avoid aggressive driving where you accelerate and brake frequently, use cruise control on flat terrain, avoid driving around with extra weight, and keep up with routine maintenance. Another smart idea is to turn the engine off when you’ll be idling for more than 30 seconds in places such as carpool lines.
Put an End to Paper Towels
What’s worse than throwing out barely used paper towels? Spending all that money on them. The cheapest paper towels on the market are about a dollar per roll. If you go through two rolls a week, that’s more than $200 a year! Save that money and keep dish towels and rags handy. It’s much more eco-friendly to launder them than it is to keep buying one-use paper towels.
Lighten Your Laundry Load
Get this, up to 85 percent of the energy used to wash clothes comes from heating up the water. When you switch to cold water you’ll see instant energy savings and your clothes will still get clean.
Visit DoYourPart.com/Columns for more everyday living solutions to have you saving even more green.
Stop Buying Water
Ditching plastic bottles of water and using reusable containers will save big bucks in the long run. But there are other situations where we pay for water without realizing it. Opting to buy concentrated juices is a cheaper alternative to buying many jugs of juice. You’ll save about a nickel on ounce. And, instead of using expensive irrigation systems in your yard, rain barrels or other collection devices will do the work for free.
Sell the Small Stuff
Got gadgets and other electronics collecting dust around your home? They are valuable even if they don’t work. Many major retailers now accept old electronics and will give you a store gift card in return. And, many online sites will pay to have you ship them your stuff and you’ll get a check after they receive it. These items get resold or recycled for metal. Check DoYourPart.com/Columns for a list of resources. Also, consider taking gently worn clothing, sporting equipment, and even children’s gear to consignment shops to earn a few dollars.
Refuse to Waste Gas
No one likes what it costs to fill up our cars at the gas station. To maximize your fuel efficiency and lower toxic emissions, make sure to keep your tires properly inflated, avoid aggressive driving where you accelerate and brake frequently, use cruise control on flat terrain, avoid driving around with extra weight, and keep up with routine maintenance. Another smart idea is to turn the engine off when you’ll be idling for more than 30 seconds in places such as carpool lines.
Put an End to Paper Towels
What’s worse than throwing out barely used paper towels? Spending all that money on them. The cheapest paper towels on the market are about a dollar per roll. If you go through two rolls a week, that’s more than $200 a year! Save that money and keep dish towels and rags handy. It’s much more eco-friendly to launder them than it is to keep buying one-use paper towels.
Lighten Your Laundry Load
Get this, up to 85 percent of the energy used to wash clothes comes from heating up the water. When you switch to cold water you’ll see instant energy savings and your clothes will still get clean.
Visit DoYourPart.com/Columns for more everyday living solutions to have you saving even more green.
Biggest Return on Investment for Homeowners?
Homeowners looking for the most return on their investment when it comes to remodeling should consider exterior replacement projects. According to the 2013 Remodeling Cost vs. Value Report, REALTORS® rated exterior projects among the most valuable home improvement projects.
“REALTORS® know that curb appeal projects offer great bang for your buck, because a home’s exterior is the first thing potential buyers see,” says National Association of REALTORS® President Gary Thomas. “Projects such as siding, window and door replacements can recoup more than 70 percent of their cost at resale. REALTORS® know what home features are important to buyers in your area and can provide helpful insights when considering remodeling projects.”
Results of the report are summarized on NAR’s consumer website HouseLogic.com, which provides information on dozens of remodeling projects, from kitchens and baths to siding replacements, including the recouped value of the project based on a national average. According to the Cost vs. Value Report, REALTORS® judged a steel entry door replacement as the project expected to return the most money, with an estimated 85.6 percent of costs recouped upon resale. The steel entry door replacement is the least expensive project in the report, costing little more than $1,100 on average. A majority of the top 10 most cost-effective projects nationally in terms of value recouped are exterior replacement projects; all of these are estimated to recoup more than 71 percent of costs.
Three different siding replacement projects landed in the top 10, including fiber cement siding, expected to return 79.3 percent of costs, vinyl siding, expected to return 72.9 percent of costs, and foam backed vinyl, expected to return 71.8 percent of costs. Two additional door replacements were also among the top exterior replacement projects. The mid-range and upscale garage door replacement were both expected to return more than 75 percent of costs.
According to the report, two interior remodeling projects in particular can recoup substantial value at resale. A minor kitchen remodel is ranked fifth and is expected to return 75.4 percent of costs. Nationally, the average cost for the project is just under $19,000. The second interior remodeling project in the top 10 is the attic bedroom, which landed at number eight and tied with the vinyl siding replacement with 72.9 percent of costs recouped. With an average national cost of just under $48,000, the attic project adds a bedroom and bathroom within a home’s existing footprint.
The improvement project projected to return the least is the home office remodel, estimated to recoup less than 44 percent. The 2013 Remodeling Cost vs. Value Report compares construction costs with resale values for 35 mid-range and upscale remodeling projects comprising additions, remodels and replacements in 81 markets across the country. Data are grouped in nine U.S. regions, following the divisions established by the U.S. Census Bureau.
This is the 15th consecutive year that the report, which is produced by Remodeling magazine publisher Hanley Wood, LLC, was completed in cooperation with NAR. REALTORS® provided their insights into local markets and buyer home preferences within those markets. The 2013 national average cost-to-value ratio rose to 60.6 percent, ending a six-year decline. The ratio represents nearly a three-point improvement over 2011-2012. Lower construction costs are the principal factor in the upturn, especially when measured against stabilizing house values. In addition, the cost-to-value ratio improved nationally for every project in this year’s report and is higher than it was two years ago for both remodeling and replacement projects.
“A REALTOR® is the best resource for helping homeowners decide what improvement projects will provide the most upon resale in their market,” says Thomas. “Each neighborhood is different, and the desirability and resale value of a particular remodeling project varies depending on where you live. When making a home remodeling decision, resale value is just one factor that homeowners should take into consideration. Consult a Realtor® to make sure you are making the best decision.”
Most regions followed the national trends; however the Pacific region, consisting of Alaska, California, Hawaii, Oregon and Washington, once again led the nation with an average cost-value ratio of 71.2 percent, due mainly to strong resale values. The next best performing regions were West South Central, South Atlantic, and East South Central. These regions attribute their high ranking to construction costs that were lowest in the country. While still remaining below the national average, most remaining regions showed strong improvement over last year. These are Mountain, New England, East North Central, Middle Atlantic, and West North Central.
To read the full project descriptions and access national and regional project data, visit www.costvsvalue.com “Cost vs. Value” is a registered trademark of Hanley Wood, LLC. For more information, visit www.realtor.org
Results of the report are summarized on NAR’s consumer website HouseLogic.com, which provides information on dozens of remodeling projects, from kitchens and baths to siding replacements, including the recouped value of the project based on a national average. According to the Cost vs. Value Report, REALTORS® judged a steel entry door replacement as the project expected to return the most money, with an estimated 85.6 percent of costs recouped upon resale. The steel entry door replacement is the least expensive project in the report, costing little more than $1,100 on average. A majority of the top 10 most cost-effective projects nationally in terms of value recouped are exterior replacement projects; all of these are estimated to recoup more than 71 percent of costs.
Three different siding replacement projects landed in the top 10, including fiber cement siding, expected to return 79.3 percent of costs, vinyl siding, expected to return 72.9 percent of costs, and foam backed vinyl, expected to return 71.8 percent of costs. Two additional door replacements were also among the top exterior replacement projects. The mid-range and upscale garage door replacement were both expected to return more than 75 percent of costs.
According to the report, two interior remodeling projects in particular can recoup substantial value at resale. A minor kitchen remodel is ranked fifth and is expected to return 75.4 percent of costs. Nationally, the average cost for the project is just under $19,000. The second interior remodeling project in the top 10 is the attic bedroom, which landed at number eight and tied with the vinyl siding replacement with 72.9 percent of costs recouped. With an average national cost of just under $48,000, the attic project adds a bedroom and bathroom within a home’s existing footprint.
The improvement project projected to return the least is the home office remodel, estimated to recoup less than 44 percent. The 2013 Remodeling Cost vs. Value Report compares construction costs with resale values for 35 mid-range and upscale remodeling projects comprising additions, remodels and replacements in 81 markets across the country. Data are grouped in nine U.S. regions, following the divisions established by the U.S. Census Bureau.
This is the 15th consecutive year that the report, which is produced by Remodeling magazine publisher Hanley Wood, LLC, was completed in cooperation with NAR. REALTORS® provided their insights into local markets and buyer home preferences within those markets. The 2013 national average cost-to-value ratio rose to 60.6 percent, ending a six-year decline. The ratio represents nearly a three-point improvement over 2011-2012. Lower construction costs are the principal factor in the upturn, especially when measured against stabilizing house values. In addition, the cost-to-value ratio improved nationally for every project in this year’s report and is higher than it was two years ago for both remodeling and replacement projects.
“A REALTOR® is the best resource for helping homeowners decide what improvement projects will provide the most upon resale in their market,” says Thomas. “Each neighborhood is different, and the desirability and resale value of a particular remodeling project varies depending on where you live. When making a home remodeling decision, resale value is just one factor that homeowners should take into consideration. Consult a Realtor® to make sure you are making the best decision.”
Most regions followed the national trends; however the Pacific region, consisting of Alaska, California, Hawaii, Oregon and Washington, once again led the nation with an average cost-value ratio of 71.2 percent, due mainly to strong resale values. The next best performing regions were West South Central, South Atlantic, and East South Central. These regions attribute their high ranking to construction costs that were lowest in the country. While still remaining below the national average, most remaining regions showed strong improvement over last year. These are Mountain, New England, East North Central, Middle Atlantic, and West North Central.
To read the full project descriptions and access national and regional project data, visit www.costvsvalue.com “Cost vs. Value” is a registered trademark of Hanley Wood, LLC. For more information, visit www.realtor.org
Housing to Drive Economic Growth
The bursting of the housing bubble plunged the economy into a
recession from which it has yet to fully recover. But economists say
this could finally be the year that housing lifts us out of the
doldrums. Over half of economists surveyed by
CNNMoney identified a housing recovery as the primary driver of economic
growth this year. The rest were split fairly evenly between consumer spending, increased domestic energy production and stimulus from the Federal Reserve as major growth drivers.
"Homebuilding activity will likely remain the
strongest growing component of the economy in 2013," said Keith Hembre,
chief economist of Nuveen Asset Management. "After several years of
excess supply, demand and supply conditions are now in much better
balance."
Home sales rebounded to the strongest level in five years in 2012, as home building bounced back to levels not seen since early in the recession. Near record low mortgage rates, rising home prices and a drop in foreclosures have combined to bring buyers back to the market.
The economists surveyed also forecast that there will be just under 1 million housing starts this year -- roughly matching the 28% rise in home building in 2012. Moody's Analytics is forecasting much stronger growth -- a 50% rise both this year and next year, which it estimates will create more than 1 million new jobs.
"There's a lot of pent-up demand for housing, and very little supply," said Celia Chen, housing economist for Moody's Analytics. "As demand continues to improve, home builders have nothing to sell. They'll have to build." She said that growth in building will mean adding not just construction jobs, but also manufacturing jobs building the appliances and furniture needed in the new homes, which in turn drives overall consumption higher.And economists say the tight supply and renewed demand for housing should lead to higher home values -- about a 3.7% increase according to the survey.
"One of the most significant indirect effects from the housing recovery is the 'wealth effect' on consumers due to the recovery in home prices," said Joseph LaVorgna, chief U.S. economist of Deutsche Bank, who said better home values can affect both consumer psychology on spending as well as their actual finances.
"Even small moves in home prices can have large effects on consumption, because housing comprises such a significant share of household assets," he said.
Source:CNN Money Reports
Home sales rebounded to the strongest level in five years in 2012, as home building bounced back to levels not seen since early in the recession. Near record low mortgage rates, rising home prices and a drop in foreclosures have combined to bring buyers back to the market.
The economists surveyed also forecast that there will be just under 1 million housing starts this year -- roughly matching the 28% rise in home building in 2012. Moody's Analytics is forecasting much stronger growth -- a 50% rise both this year and next year, which it estimates will create more than 1 million new jobs.
"There's a lot of pent-up demand for housing, and very little supply," said Celia Chen, housing economist for Moody's Analytics. "As demand continues to improve, home builders have nothing to sell. They'll have to build." She said that growth in building will mean adding not just construction jobs, but also manufacturing jobs building the appliances and furniture needed in the new homes, which in turn drives overall consumption higher.And economists say the tight supply and renewed demand for housing should lead to higher home values -- about a 3.7% increase according to the survey.
"One of the most significant indirect effects from the housing recovery is the 'wealth effect' on consumers due to the recovery in home prices," said Joseph LaVorgna, chief U.S. economist of Deutsche Bank, who said better home values can affect both consumer psychology on spending as well as their actual finances.
"Even small moves in home prices can have large effects on consumption, because housing comprises such a significant share of household assets," he said.
Source:CNN Money Reports
5 tips to Get Ready for Tax Time
At the end of January employers start to send out your tax forms. Now you have to start (if you haven't already) putting together all the receipts and tallies for your deductions. Here's some tips to simplify it now and if you continue with the practices will make the tax season next year even less stressful.
3. Get your extension early if needed - If you don’t have a plan to tackle your taxes already, chances are you may need an extension to get everything done on time.If so, don’t wait until the last minute to get in your paperwork. Visit the IRS’s website to download and complete the necessary documents to apply for your tax extension now.
4. Don’t neglect your education - If you need to take continuing education courses for your work, the cost for those classes could be tax deductible. Check with your accountant or IRS guidelines to verify.
5. Plan ahead for next year -Develop a plan for the year ahead. Tax laws have changed in a number of ways for 2013 that could increase your tax liability. Talk to your accountant or certified tax professional about money management tips and tools to help make sure you’re ahead of the game and ready to maximize your deductions in the year to come.
1. Turn your receipts into electronic data - Little slips of paper can slip through your fingers into the trash too easily. Even though you might be tempted to throw all your receipts into a paper bag and hope for the best; you really should itemize as you get them. They can be sorted and scanned with a personal scanner or by online services that will take your paper copies and do the scanning for you. By having this info in your computer if any receipts get lost in your home or with your accountant, you still have your digital copies. Plus they don't fade or get wet making them impossible to read.
2. Start tracking your mileage now - If you are in sales or have a job that requires you do some extra driving between business locations or to meet clients, you make be eligible for tax on your vehicle mileage. Check with your accountant to see if this deduction is allowed. You can do this with an app like Milebug or TripLog to track your mileage all year long. Both generate easy-to-use reports that are compliant with IRS guidelines and easy for your accountant to use to make sure you get every dollar possible in tax deductions.3. Get your extension early if needed - If you don’t have a plan to tackle your taxes already, chances are you may need an extension to get everything done on time.If so, don’t wait until the last minute to get in your paperwork. Visit the IRS’s website to download and complete the necessary documents to apply for your tax extension now.
4. Don’t neglect your education - If you need to take continuing education courses for your work, the cost for those classes could be tax deductible. Check with your accountant or IRS guidelines to verify.
5. Plan ahead for next year -Develop a plan for the year ahead. Tax laws have changed in a number of ways for 2013 that could increase your tax liability. Talk to your accountant or certified tax professional about money management tips and tools to help make sure you’re ahead of the game and ready to maximize your deductions in the year to come.
Housing Predictions for 2013
The national housing market made a strong rebound in 2012 and that positive trend is expected to continue in the New Year, according to RE/MAX Co-Founder and Chairman Dave Liniger. His 2013 Top 10 predictions are listed below. According to Liniger, “Although interest rates have been at historic lows, they have not been the driving force behind this recovery. There’s no single factor driving this market; it’s been a combination of low prices, low inventory, improving consumer confidence and a huge pent-up demand. That was true throughout 2012 and will continue to be true in 2013.”
Many consumers now understand what real estate professionals have known for the last year, a number of related factors have combined to create a favorable opportunity for homebuyers and investors to purchase residential properties. “The 2013 situation is so unique that those of us who’ve worked in real estate for many years have never seen opportunities like this,” Liniger added.
Dave Liniger’s Top 10 Real Estate Predictions for 2013 are:
1. More buyers and sellers come back to the market.
2. Homes sales will rise by 6-7 percent and prices rise by 3-4 percent.
3. The inventory of homes for sale will hit a bottom.
4. Higher priced homes begin to sell.
5. Distressed property numbers continue to fall.
6. Shadow inventory continues to fall.
7. The number of short sale closings will rise to a peak.
8. Record low mortgage rates rise slightly by year-end.
9. Lending remains tight.
10. Home affordability remains the best in years.
While Liniger feels that 2013 could be the best year in real estate in many years, he admits that the recovery is fragile and still faces some obstacles. In his video presentation, he states that tight lending, government regulation and the overall economy still have the potential to negatively impact housing. However, Liniger also believes that “if housing can stay on the road to recovery, it’s possible that it can pull the rest of the economy along with it.”
In recent years, Liniger has been a highly vocal advocate for the home buying and selling consumer, and real estate professionals. He has supported reforms aimed at helping troubled homeowners avoid foreclosure and streamlining the Short Sale process. In October, his open letter to candidates Obama and Romney called for a continuation of mortgage interest deductions, an extension of the Debt Relief Act and more reasonable regulations on mortgage lending. The Fiscal Cliff Agreement left the deductions mostly intact and extended the Debt Relief Act until the end of 2013. These moves support the American dream of home ownership, help distressed families avoid foreclosure and promote a sustainable housing recovery.
Source:Rismedia
Many consumers now understand what real estate professionals have known for the last year, a number of related factors have combined to create a favorable opportunity for homebuyers and investors to purchase residential properties. “The 2013 situation is so unique that those of us who’ve worked in real estate for many years have never seen opportunities like this,” Liniger added.
Dave Liniger’s Top 10 Real Estate Predictions for 2013 are:
1. More buyers and sellers come back to the market.
2. Homes sales will rise by 6-7 percent and prices rise by 3-4 percent.
3. The inventory of homes for sale will hit a bottom.
4. Higher priced homes begin to sell.
5. Distressed property numbers continue to fall.
6. Shadow inventory continues to fall.
7. The number of short sale closings will rise to a peak.
8. Record low mortgage rates rise slightly by year-end.
9. Lending remains tight.
10. Home affordability remains the best in years.
While Liniger feels that 2013 could be the best year in real estate in many years, he admits that the recovery is fragile and still faces some obstacles. In his video presentation, he states that tight lending, government regulation and the overall economy still have the potential to negatively impact housing. However, Liniger also believes that “if housing can stay on the road to recovery, it’s possible that it can pull the rest of the economy along with it.”
In recent years, Liniger has been a highly vocal advocate for the home buying and selling consumer, and real estate professionals. He has supported reforms aimed at helping troubled homeowners avoid foreclosure and streamlining the Short Sale process. In October, his open letter to candidates Obama and Romney called for a continuation of mortgage interest deductions, an extension of the Debt Relief Act and more reasonable regulations on mortgage lending. The Fiscal Cliff Agreement left the deductions mostly intact and extended the Debt Relief Act until the end of 2013. These moves support the American dream of home ownership, help distressed families avoid foreclosure and promote a sustainable housing recovery.
Source:Rismedia
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